Qualcomm Extends Chip Licensing Agreement With Apple From April 2027
Qualcomm has extended its licensing agreement with Apple covering chips, with the renewed arrangement set to take effect from April 1 next year, extending an important commercial relationship between the two technology companies.
The agreement builds on a settlement reached by Qualcomm and Apple in 2019, which brought an end to a two-year global legal dispute involving wireless patent royalties and modem-chip supplies. The companies announced the settlement in April 2019, as a U.S. jury trial between the two sides was getting underway in San Diego.
Under the 2019 settlement, Apple agreed to make an undisclosed payment to Qualcomm, while both companies agreed to withdraw litigation filed against each other across the world. The settlement also included a six-year global patent licensing agreement beginning April 1, 2019.
As part of the original agreement, Apple was given an option to extend the licensing arrangement for an additional two years.
Qualcomm's latest announcement indicates that the companies have exercised or agreed to the extension, keeping their licensing relationship in place beyond the original term.
The agreement is significant because Qualcomm has historically supplied modem chips and related technologies used in Apple's devices, while Apple has been developing more of its own semiconductor capabilities. The licensing arrangement allows Apple to continue accessing Qualcomm's patented wireless technologies under agreed terms.
The companies, however, have not disclosed financial details of the extended agreement. They also did not immediately respond to requests for comment regarding the specific terms of the renewal.
The 2019 settlement marked a major shift in the relationship between Qualcomm and Apple after years of legal disputes over patent licensing and royalty payments. The latest extension indicates that the two companies will continue their licensing relationship even as Apple works to expand its internal chip development capabilities.